20) Vhich business organization is described by the following list? (SSEMI3A DOK: 2) Omer makes all decisions
Easy to start
Unlimited liability
Limited access to funds
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o
A. Sole proprietorship
B. Partnership
C. Corporation
D. Business Franchise

A. Sole proprietorship

Explanation:

A sole proprietorship is a business owned by one person. The owner is responsible for making all business decisions like the products or services to sell, its location, the hours, and mode of operations. The owners enjoy all the profit by themselves. A sole proprietorship is the easiest form of business structure to start. The owner only needs to register it and obtain a license from the local authorities.

Some of the drawbacks of a sole proprietorship or sole trader are a limited source of capital and unlimited liabilities to the debts of the company. Since the business is owned by a single individual, capital is contributed by that one person only. The law treats a  sole proprietorship business and the owner as one entity. Business profits are the owner's profits, and so are the debts.  

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